Pakistan: Second Review Under the Extended Arrangement Under the Extended Fund Facility, First Review Under the Resilience and Sustainability Facility, Request for a Waiver of Nonobservance of a Performance Criterion, and Modification of Performance Criteria-Press Release; Staff Report; and Statement by the Executive Director for Pakistan
December 11, 2025
Summary
Continued strong policy implementation has helped Pakistan
weather several shocks this year. Growth was stronger than anticipated in FY25, but the
recent floods moderately dampen the outlook for FY26. Financial conditions and
external balances have remained favorable, with Pakistan posting its first current
account surplus in 14 years in FY25 and reserve rebuilding continuing. Headline
inflation has been contained despite some flood-related food price increases.
weather several shocks this year. Growth was stronger than anticipated in FY25, but the
recent floods moderately dampen the outlook for FY26. Financial conditions and
external balances have remained favorable, with Pakistan posting its first current
account surplus in 14 years in FY25 and reserve rebuilding continuing. Headline
inflation has been contained despite some flood-related food price increases.
Subject: Environment, Natural disasters, Public debt, Revenue administration
Keywords: Natural disasters
Pages:
117
Volume:
2025
DOI:
Issue:
332
Series:
Country Report No. 2025/332
Stock No:
1PAKEA2025002
ISBN:
9798229032353
ISSN:
1934-7685





